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Free Money?
Did Somebody Say Free Money?

Reselling hosted applications could make your ISP business a buck or two—and you don't even have to transform your operation into an ASP to reap the rewards.

by Gerry Blackwell
[December 15, 2000]

Ever since we launched this column we've been investigating quick and easy ways for ISPs to tap into new revenue streams.

While some ISPs pooh-pooh the rising ASP phenomenon, smart ISP owners view hosted application services an opportunity to make a buck and grab a piece of the emerging market.

For ISPs targeting small-office, home-office, and small business customers, Rivio Inc. of Santa Clara CA has an intriguing proposition.

Riparian revenues
The company launched its ISP partner program in November. It involves no capital investment by ISPs, no upfront fees, no ongoing fees. And Rivio pays partners 15 per cent of top-line revenues.

"They sign up customers," says Rivio senior vice president of marketing Maury Domengeaux, "and we send them money. It's the closest thing to free money they're ever going to get."

Rivio, formerly Biztro, developed its own integrated suite of online business tools. Now it hosts branded versions of the suite on behalf of partners.

The tools were designed from the ground up for small businesses and designed from the ground up for the hosted environment.

"Our suite helps small businesses streamline their internal operations," says Domegeaux, "and improve the flow of work and decisions inside the company."

Hence the name—Rivio ... river ... flows. Get it?

What's en suite ?
The suite includes HR and payroll functions. Managers can set up personal records for each employee. Employees can then update the information online.

They can also use the Rivio tools to check their payroll information and authorize direct deposits. Managers generate payroll reports at the click of a button and print them or route them to a payroll service firm.

Companies can set up a database of vital corporate information, including online organizational charts, event notices, addresses and an employee phone book.

The suite also features a set of Task Manager tools that let managers and employees stay on top of their work with task assignment and personal to-do lists.

And the Workflow applications include online expense reports, invoicing, time sheets, leave requests, calendars and so on.

"All of these tools are built on a common database so they share information," Domengeaux points out. "You can enter employee information in one application, for instance, and all the others will have access to it."

Considerable revenue resiliency
End customers can sign up for a free service or a more comprehensive paid service. Until December 31, they can actually get the full service for free, but fees kick in for all users of the subscription package beginning in the new year.

Rivio's suggested retail price is $14.95 per month per business for up to three users and $4 per month per employee after that. Partners are free to charge whatever they want, though, Domengeaux says.

The company launched the product from its own site in March of this year. It will soon stop taking customers at the home site, however, and provide a "partner locater" page instead.

Go to page 2: Non-compete clause for celebration

 

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